Yu. Korchagin Field

The Yu. Korchagin field was discovered in 2000 and became the first field put on stream by LUKOIL in the Caspian. The field started producing in 2010. Yu. Korchagin Field is located in the Russian Caspian Sea at depths between 11 and 13 m. The distance to the nearest shore (the Volga delta) is about 120 km. The nearest sea ports are Astrakhan (175 km) and Makhachkala (250 km), the closest railway stations are in Astrakhan, Makhachkala, Kizlyar and Derbent.

When developing the field and constructing the field infrastructure, the Company successfully tested sophisticated technological solutions and gained considerable experience and extra knowledge of the region's geology. For instance, the Company successfully applied anti-ice solutions, including heated ice fences, and reinforced anti-seismic and anti-erosion structures and piles.

All the solutions that proved to be successful during the construction at the Yu. Korchagin field are currently applied by the Company to maximize the development efficiency of the Caspian Sea fields.

The field's construction project includes two phases. Phase 1 infrastructure comprises an ice-resistant platform with drilling facilities, a living quarters platform, and an offshore transshipment facility used to ship crude oil before relevant facilities were commissioned at the V. Filanovsky field.

In 2016, to tap the reserves of the field's Eastern part, the construction of Phase 2 infrastructure project was under way comprising a wellhead platform for drilling of up to nine wells, and subsea pipelines and power cables to connect the Phase 1 iceresistant platform.

PROJECT HISTORY

2000

Field discovery.

2001

Seismic surveys.

2002

The field was subject to a state expert review and was found fully ready for commercial operation. The oil and gas ratio averages 60%:40%. The field’s reserves (oil equivalent) were estimated to be the following: 1P – 258 million barrels, 2P – 497 million barrels, and 3P – 757 million barrels.

2004

Well infrastructure design. Upgrading of the basic semi-submersible monocoque hull (BSMH) started. BSMH construction began in 1988 and was put on hold in 1991.
The inspection of the submerged hull done at LUKOIL’s request revealed that the hull was in good repair and could keep the platform going for 30 years. BSMH will be used at the field as an ice-resistant stationary platform.

2009

April. Offshore stage of the field facilities construction began. IRP-2 substructure brought to location. May. IRP-2 substructure installed. Living quarters brought to location and installed on the IRP-2 substructure. July. Single-point mooring components loaded and transported to location. The offshore ice-resistant platform (OIRP), the main facility used in the development drilling and production of hydrocarbons towed to location. August. Single-point mooring installed. OIRP construction completed. A 74.2 m long bridge erected to connect two offshore ice-resistant platforms (OIRP) into a single complex. September. Floating oil storage (FOS) designed to load shuttle tankers and export oil from the field installed.

December 2009

Development drilling commenced.

April 2010

First oil produced at the field.

October 2010

First tanker loaded with the field’s oil.

2013

New project management techniques introduced. Application of the “Theoretical Maximum Performance TM” and the “Operating Rhythm TM” project management techniques at the Korchagin field made it possible to cut back on the drilling costs by 46%, which consequently led to 180 million USD of savings. Besides, the reduced drilling times resulted in 83 million USD of additional profits earned due to accelerated oil production and sales.

February 2015

World record in horizontal drilling. While drilling well No. 108 off OIRP, LUKOIL set a new world record in the horizontally drilled meterage with a significant bottom displacement: 4,908 meters per drillbit run in the 9½ inch section without any tripping. The evidence of the record set by LUKOIL in well No.108 may be found in the Schlumberger/Smith Bits global database.

August 2015

PJSC LUKOIL made it beyond the 5 mln. tons mark (38.6 mln. barrels) for the oil produced at Yu. Korchagin field in the Caspian Sea.